The $trategist - Staying Stable

Q2 2025

Staying Stable

Grant Beck

Hello to all of you and your families! From all of us at Liberty Financial Group, we hope you are having a great summer! As we move into the second half of the year, we wanted to look back at what has happened so far and highlight a few trends. We’ll also look at what has happened historically to help explain why our philosophy, unchanged since 1981, continues and remains the same, long-term value investing in an ever-changing environment.

The beginning of the second quarter brought an uptick in volatility. Volatility, by itself, can make investors feel uneasy. But it is important to remember that it can also be a sign of a working market. In fact, it might be very unusual if markets didn’t react to new information! Much of the volatility was in response to President Trump’s tariff announcements, pauses on tariffs, and uncertainty about which ones will remain in place and for how long. This led to large market drops in April with the S&P 500 dropping 20% from its previous high. Since then, we’re happy to report that most markets have positively rebounded and are positive for the year. Additionally, global equities have performed well, and portfolios continue to benefit from global diversification and a long-term approach to investments.

While there is always uncertainty about what the future may hold, we can look at history and discuss the benefits of our long-term, diversified approach for Liberty clients’ portfolios. Over the past 50 years, investors have faced a variety of different challenges. These include double-digit inflation numbers, market corrections (overall the market has dropped over 20% about seven times), recessions, a variety of geopolitical issues, and a global pandemic. A sure sign that, while the markets may not always be smooth, they have continued to show resilience and rewarded those that were able to weather the bumps along the road.

We feel the benefit of owning a well-diversified portfolio is that it aids in smoothing out some bumps by adding exposure to more companies, global markets, and asset classes that are not related to one another all with the goal of reducing overall risk.

This long-term approach has proven to help portfolios weather a variety of economic conditions. So even if the specifics and characteristics might change, what has worked has not changed. Accordingly, you may see more changes in your portfolios during the second half of the year. U.S. equities have performed very well, which means it may be necessary to capture more of those gains and move allocations closer to their original desired weightings. Feel free to reach out to us if you would like to discuss it in more detail.

We appreciate your continued trust in us and are looking forward to working with all for many more years to come.

Planning Notes

June Schroeder, CFP Board Emeritus®

Power of Attorney Problems

Your POA document may not be accepted at some organizations, like your bank, just when you need it the most for you or a loved one. Just ask Shannon! You may have authorized an individual to act on your behalf, but financial institutions, fearful of fraud (and rightly so) often drag their feet when presented with a POA.

Remedy: Ask if the organization has an authorized agent-selection form and fill it out. Medicare has one allowing you to disclose and release information to someone you trust to deal with Medicare on your behalf.

Auto & Homeowner Insurance Alert

My neighbor recently told me she had discovered that she was paying for things she hadn’t owned for years, including a motorcycle and some valuable jewelry. Her husband had passed away several years ago and she just kept paying for them when the premium came due, even though she talked to her insurance agent occasionally. That’s a good reminder for everyone, because clients often tell us “Nothing has changed” when it might have!

Almost a Cashless Society!

According to the Federal Reserve 2024 data, cash was used for 18% of transactions, down from 31% in 2016. Debit and credit total 60% while the rest was either EFT (electronic fund transfer) or unspecified like trade.

Notice the Vacant Stores?

In 2024, retail closures reached their highest level since the pandemic, according to Coresight Research, with a total of 7,325 locations shuttering.

Are You Tipped?

According to the Budget Lab at Yale, 2.5% of all workers—from waitstaff to bartenders to cabbies and more— roughly 4 million, receive tips in their occupations.

Medical Bill Errors

It can pay to scrutinize those medical bills and insurance company statements because you will likely find errors. I found several on bills just this year and got them rectified. I was being billed for some x-rays that had already been paid by insurance. In both instances I was traveling, so the systems didn’t mesh properly, but nevertheless I saved myself hundreds of dollars which made my injuries a bit less painful than they might have been psychologically.

Client Alerts

Shannon Nook, FPQP ™

Individuals wanting to apply for benefits or changing the direct deposit of funds may need to prove their identity. Either by creating a “My Social Security” account or visiting a Social Security office directly. We also suggest opening an online SSA.gov account securely for yourself, so hackers do not try and create one without your knowledge.

Medicare Open Enrollment

Open enrollment can be a confusing time, so you are invited to Lunch & Learn! Sign up for “Demystifying Medicare: An Educational Guide for Enrollees at Any Stage” on Tuesday, September 16th from noon to 1 p.m. at the Liberty Financial Group office. Join Liberty and WisCare for an informative and relaxed lunch session during which we untangle the complexities of Medicare. Whether you’re just exploring options or already enrolled, this class offers simple, clear insights drawn from years of experience —no sales, no plan-specific pitches. Just clarity, integrity, and practical knowledge to help you navigate your choices with confidence. Please bring a friend and find out what all plans will not tell you! And enjoy a complimentary lunch. RSVP by August 15th. Sign up via the Liberty Class link or call 262-785-1377 to confirm your spot. Important: Space is limited!

LFG Summer Hours

Memorial Day to Labor Day

9:00-5:00 Mon-Thurs

9:00-2:00 Fri

Evenings by request